ICS unlock screen problem?

Droid Bionic, ISC leak .2233 i believe.
Ok so i feel like i recently made a discovery i did not like.
i was doodling on my phone lock screen. and these shots give the gist of it.
regular unlock screenView attachment 55766
Warning (at 5 also just didnt get a shot of it)View attachment 55768
screen durning the warning time, note the "forgot password?" top left where tommybot used to be.View attachment 55767
clicking on the "forgot password?" it gives you this option.View attachment 55769
thats what worries me the reset phone button. i didnt press it cause i dont really want to go though the process.
but, does that mean anyone can pick up my phone and reset it?

It's a security measure so in case someone gets ahold of your phone, they can't access your data. It also gives YOU a way back in just in case somehow you forget BOTH your unlock pattern and Google account login info. Better than anyone can pick your phone up and reset it, than to allow them to get into your personal info.